When There Are Economies of Scale

question 42

Multiple Choice

When there are economies of scale,

• A) MC > AC, so cost-output elasticity is greater than AC.
• B) MC < AC, so cost-output elasticity is less than AC.
• C) MC < AC, so cost-output elasticity is greater than 1.
• D) MC < AC, so cost-output elasticity is less than 1.
• E) long-run marginal cost is declining.

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Definitions:

I/O Modules

Input/Output Modules are components used in PLCs and other control systems to interface the controller with external devices, allowing for data exchange between the system and the physical environment.

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